C.S.H.B. 80 78(R)    BILL ANALYSIS


C.S.H.B. 80
By: Wise
Defense Affairs and State-Federal Relations
Committee Report (Substituted)



BACKGROUND AND PURPOSE 

Many veterans in Texas are combat veterans from WWII, Korea, Vietnam,
Panama, Somalia, and the Persian Gulf.  Texas has the second largest
veterans population in the nation who bring into the Texas economy over $3
Billion dollars from the Veterans Administration alone. Within Hidalgo
County alone there are over 65,000 veterans, 59,000 of these veterans in
the area are not provided medical treatment as veterans.  Many others
suffer from lack of employment training and even hunger.  Hidalgo County
is only one out of 254 counties in Texas, which has over 1.6 million
veterans.  HB 80 proposes to set up a fund for veteran's health care for
financing of certain veterans programs, including veteran's care, veterans
homes and veterans' health care programs.  This fund would be set up
outside the General Revenue Fund and would be composed of two sub-accounts
administered by both the Veterans' Land Board (VLB)and the Texas Veterans
Commission (TVC). The fund would be funded from any gifts or grants given,
and the interest accumulated. 


RULEMAKING AUTHORITY

It is the Committee's opinion that rulemaking authority is expressly
delegated to the Texas Veteran's Commission in SECTION 1 (Section 434.016
(h), Government Code) of this bill.  

ANALYSIS

SECTION 1.  HB 80 sets up the fund for veterans' care.  The Fund is a
special fund in the State Treasury, outside of General Revenue and is
composed of any money given as a gift or grant, and any earnings of the
fund. 

The fund is composed of the Veterans' Land Board Account and the Texas
Veterans Commission Account.  The bill sets forth provisions on how the
money in the account may be spent by each Agency.  The VLB may spend any
monies on programs relating to veterans homes or cemeteries and the TVC
may spend monies for programs relating to health care or to make grants to
local communities to address veterans' health care needs. 

SECTION 2.  This Act takes effect September 1, 2003.


COMPARISON OF SUBSTITUTE TO THE ORIGINAL

The Substitute modifies the original version of the bill in that the
substitute is a Legislative Council draft. 

In SECTION 1, the fund has been changed from a "Permanent fund for
Veterans' care" as a special fund in the state treasury outside the
general revenue fund to a "Fund for Veterans' care" outside the state
treasury held by the Texas Treasury Safekeeping Trust Company to be
jointly administered by the commission and the Veterans' Land Board. 

In SECTION 1, the words "The fund is composed" on line 9 were deleted.
Lines 10 through 24 on page 1 and lines 1 through 15 on page 2 of the
ORIGINAL BILL were DELETED in the committee substitute.  In place of the
aforementioned deleted lines, lines 10 through 14 on page 1 of the
COMMITTEE SUBSTITUTE state that the fund will be composed of an account
for the Veterans'  Land Board and a separate account for the Texas
Veterans Commission.  In addition, the COMMITTEE SUBSTITUTE adds Section 1
(c) allowing the Veterans' Land Board and the Texas Veterans Commission to
solicit and accept gifts and grants to the general fund, specifying that
the solicited money may only be spent in accordance with any limitations
or requirements placed on the gift or grant by the donor or granting
entity. 

The COMMITTEE SUBSTITUTE also adds SECTION 1 (d) which states that the
gifts and grants that are contributed to the fund will be distributed
equally to individual accounts for the Veterans' Land Board and Texas Land
Commission.  SECTION 1 (e) of the COMMITTEE SUBSTITUTE states that the
interest earned by each individual account shall be retained by those
accounts. 

SECTION 1 (f) of the COMMITTEE SUBSTITUTE states that the Veteran's Land
Board is authorized to spend 50% of the interest and 25% of the corpus
from their account for programs relating to veterans cemeteries and may
spend the remaining 50% of the interest and 25% of the corpus from their
account for programs relating to veterans' homes.   

SECTION 1 (g) of the COMMITTEE SUBSTITUTE states that the Texas Veterans
Commission is authorized to spend 50% of its corpus on veterans' health
care and to make grants to local communities to address veterans' health
care.   

SECTION 1 (h) of the COMMITTEE SUBSTITUTE  states that the Texas Veterans
Commission may adopt rules to govern the awarding of grants by the
commission. 
 
SECTION 2 and SECTION 3 of the ORIGINAL BILL are DELETED in the committee
substitute. 

SECTION 4 in the ORIGINAL BILL is renumbered accordingly as SECTION 2 in
the committee substitute (page 2, line 18) to correspond with the deleted
section.